Leasing is a form of financial lease and purchase of any equipment or asset by a leasing company and use (rent) of them by a lessee for an agreed period. Upon termination of the contract, the asset shall be owned by the lessee upon payment of the residual value with the consent of the leasing company.  

 

When you acquire any equipment by means of leasing, you will be required very few documents compared to the bank. You will also have such an asset and just have to pay for it on a monthly basis. The reason why documents are not required is that documents related to the asset that you acquire will remain the property of the company. Then you will be able to own this asset when you pay your debt and leasing agreements shall be concluded mainly for a long period.

 

Under the lease agreement, the lessor shall be responsible for delay or non-performance in shipping the asset, as well as for providing defective asset to the lessee.

 

• Leasing payments are not subject to VAT.
• Repayment for a long period of time
• Exact amount of payment
• Low interest rate
• Financing investments 100%. So, transport, tax, insurance, assembly and other charges can be completely covered by Leasing.
• As leasing equipment is the property of the leasing company, it usually doesn’t require additional collateral from clients.
• Leasing payments will be fully included in expenses.
• It is possible to apply double coefficient in leasing for accelerated amortization of an asset. And it makes your taxes to be reduced significantly in the step of investment.
• All your payments will be adjusted to your cash flow in leasing and you can repay your debt in a long period of time without any financial need.
• In leasing your investment will finance itself. So, you will be able to make your leasing payments by incomes that you will get from your investment.